third party logistics

3PL can save money in the long run

Hiring a new service might seem like a new expense for your business and the idea might put you off. However, long-term results might be worth the money and effort. There are other things that you won’t have to invest in, like transportation, warehouse space, and staff. This significantly spares your money. That way, by investing in one thing, you spare money in three other fields. You can manage the whole logistics process by yourself,  but other than the effort and time it takes, you get to spend money on many things along the way. You would have to build or rent a warehouse, handle the transportation, hire people that would work in the warehouse or would handle the logistics, and also invest in technology. Why do all that on your own if you can hire a professional third-party logistics that would do it for you for a reasonable price? Another benefit that it brings is the fact that you won’t have to worry about the paperwork, staffing, and training. The supply chain is fully optimized by your 3PL company. 

Get Access to Expertise and Experienc

You probably can’t fully control whether all the employees related to your business have good expertise in their field or if all the departments in your company have qualified and experienced staff. However, a freight logistics company can provide the necessary experience and valuable knowledge when it comes to the aforementioned transport documentation, import and export, and many different regulations that can follow the logistics process. This can significantly help you if you plan to expand your business internationally. 

3PL can help you expand on new markets

Talking about expanding, 3PL can help you to position your business in some newer markets. This is because you will gain access to warehouses and different distribution centers in different locations and different regions or countries. Needless to say, the benefits of this are immense since you become able to handle shipping anywhere across the world. It is important to reiterate that another huge benefit is that you will be able to track all the products in the new market you expand to without having to spend more money on equipment, warehouse expense, and the other labor that accompanies it. So this way, you get some new customers and don’t have to invest huge amounts of money in the business itself. 

Lowering unexpected expenses

Make sure you hire a freight company that is well equipped to handle anything unforeseen that might happen during the whole process of transporting products. They should be able to solve any issues as they emerge. The benefit of this for you is the fact that those unforeseen issues won’t be yours to handle and this cuts your expenses as well. 

3PL offers updated warehouse & logistics technology

We mentioned that you spared money on technology but let’s explain in more detail what technology we are talking about. If you want to track the orders successfully you will need some shipment tracking devices, technology for handling the inventory, automation, and many more things. Third-party logistics are up to date with these systems, so your business won’t run out of user-friendly and modern devices. If you think you can manage all that by yourself, just think about warehouse robotics used to replace humans where this can be done efficiently. Those are platforms for tracking everything in a supply chain, management systems for transportation that follow the entire process from planning to executing the chain supply, software and mobile applications used for inventory management, automatic guided vehicles that use radio waves, wires, lasers, or magnets for following the established path of the order, different security systems, barcode scanning, and many other things. This sounds pretty overwhelming and it is for the best that a professional freight outsourcing company does this for you. 

Gain Flexibility, Scalability, and business growth

When it comes to these two important traits, 3PL companies can provide them to you. You get the flexibility and scalability to use all the supply and distribution resources you can get in supply chain management. All that is done based on current business needs, so you don’t have any backlogs nor are you stuck with some previous unpaid expenses. Focusing on now is crucial for your business because you can always be up to date with the competition and you won’t run late on anything. If you have a low season, you won’t have to make a lot of investment to cover that and if you have high demand, the business can upscale. Business upscale leads to business growth, which is another reason to hire 3PL logistics. With them, you get access to some markets where you weren’t present before. Outsourcing logistics will allow your business to focus on its main competencies instead of getting involved in the management of non-core ones. If everyone focuses on their main job and does it the best way they can, then everyone will thrive. 

Improve Customer Satisfaction

All the aforementioned benefits can lead to one that is very important as well. That is customer satisfaction. If you can track orders faster, provide shipping to all parts of the country or even the world, and deliver the orders promptly, your customers will be satisfied and will recommend your service to their friends. Your customer web will grow and the business will thrive. This is in the end the purpose of any business.

If you own a business, especially a small one that might lack some serious presence in different market fields, then hiring a 3PL service can be the best thing you could invest in. It will cut down your expenses, save you the tedious bureaucracy work and provide you with all the necessary technology assets to give your customers the best possible experience. 

By Anurag Rathod

Anurag Rathod is an Editor of, who is passionate for app-based startup solutions and on-demand business ideas. He believes in spreading tech trends. He is an avid reader and loves thinking out of the box to promote new technologies.